A paddy processing unit purchases 10,000 kg of paddy. After subjecting it to milling operation, the husk and rice are separated. The husk forms 5% of the total paddy weight. The rice so extracted from the paddy contains 6% of brokens or defective material in it. Cost of purchase of paddy is Rs.3.50/kg and the selling price of rice is Rs.8.00/kg. The broken material is sold at Rs.2.00/kg. The husk is sold atRs.0.50/kg.

Questions

1. What is the amount of paddy to be processed, such that the sale of the rice extracted from it excluding brokens and husk fetches an amount of Rs.14, 288?

(1) 2000 kg (2) 1786kg (3) 2500 kg (4) 1886 kg

2. Assuming that all the rice produced by processing 10,000 kg of paddy is sold, what would be the decrease in profits if the brokens in the operations increased to 8%?

(1) Rs. 1,000 (2) Rs. 1,100 (3) Rs. 1, 140 (4) Rs. 1,200

3. Due to the evaporation of moisture, there is a 5% loss of weight before the processing of the. Paddy began. As a result the decrease in the weight of rice obtained (in kg) is

(1) 450 kg (2) 500 kg (3) 447 kg (4) 475 kg

4. What is the amount realised on the sale of by products i.e., broken and husk on processing 5,000 kg of paddy

(l) Rs.200 (2) Rs.180 (3) Rs.695 (4) Rs.190

Answers with Explanations

1. (1) Let the amount of paddy to be processed = q kg. the amount of rice it yields = q x 0.95 = 0.95 q

out of this if you exclude 6% broken

0.95q (1 - 6 / 100) = 0.893q

∴So the rice you get = 0.893q ∴0.893q x 8 = 14.288

0.893q = 1786 q = 2000 kg.

2. (3) The rice produced by processing 10.000 kg of paddy = 9,500 kg.

if the brokens increase by 2% of 9,500 ⇒ 190 kg

of additional brokens 190 kg of fine nee less ⇒190 x 8 = 1520 but this is offset by 190 x 2 = 380

profit over sale of additional brokens 1, 520 – 380 = Rs.1, 140

3. (4) 5% loss of weight would imply = 0.05 x 10,000 = 500kg.

the rice extracted will be = 9,500 x 95 / 100 = 9025

the decrease will be = 9, 500 - 9025 = 475 kg.

4. (3) Proceedings from sale of husk =

5000 x 0.05 x 1/2 = Rs.125

proceedings from the sale of brokens =

5000 x 0.95 x 6/100 x 2 = 570

hence amount realised = Rs.570 + Rs 125 = Rs.695

Questions

1. What is the amount of paddy to be processed, such that the sale of the rice extracted from it excluding brokens and husk fetches an amount of Rs.14, 288?

(1) 2000 kg (2) 1786kg (3) 2500 kg (4) 1886 kg

2. Assuming that all the rice produced by processing 10,000 kg of paddy is sold, what would be the decrease in profits if the brokens in the operations increased to 8%?

(1) Rs. 1,000 (2) Rs. 1,100 (3) Rs. 1, 140 (4) Rs. 1,200

3. Due to the evaporation of moisture, there is a 5% loss of weight before the processing of the. Paddy began. As a result the decrease in the weight of rice obtained (in kg) is

(1) 450 kg (2) 500 kg (3) 447 kg (4) 475 kg

4. What is the amount realised on the sale of by products i.e., broken and husk on processing 5,000 kg of paddy

(l) Rs.200 (2) Rs.180 (3) Rs.695 (4) Rs.190

Answers with Explanations

1. (1) Let the amount of paddy to be processed = q kg. the amount of rice it yields = q x 0.95 = 0.95 q

out of this if you exclude 6% broken

0.95q (1 - 6 / 100) = 0.893q

∴So the rice you get = 0.893q ∴0.893q x 8 = 14.288

0.893q = 1786 q = 2000 kg.

2. (3) The rice produced by processing 10.000 kg of paddy = 9,500 kg.

if the brokens increase by 2% of 9,500 ⇒ 190 kg

of additional brokens 190 kg of fine nee less ⇒190 x 8 = 1520 but this is offset by 190 x 2 = 380

profit over sale of additional brokens 1, 520 – 380 = Rs.1, 140

3. (4) 5% loss of weight would imply = 0.05 x 10,000 = 500kg.

the rice extracted will be = 9,500 x 95 / 100 = 9025

the decrease will be = 9, 500 - 9025 = 475 kg.

4. (3) Proceedings from sale of husk =

5000 x 0.05 x 1/2 = Rs.125

proceedings from the sale of brokens =

5000 x 0.95 x 6/100 x 2 = 570

hence amount realised = Rs.570 + Rs 125 = Rs.695